Question 1

Which of the following statements is true?

Accepted Answer

A) The Commercial Paper Funding Facility (CPFF) authorized the Fed to directly purchase commercial paper. 
B) The Money Market Investor Funding Facility (MMIFF) supported a private plan to provide liquidity to U.S. money markets by funding the purchase of short-term CDs and commercial paper from money market mutual funds and money market investors. 
C) The Term Asset-backed Securities Loan Facility (TALF) authorized the Fed to lend up to $200 billion to the issuers of asset-backed securities. 
D) All of the above are true. 
A) The Commercial Paper Funding Facility (CPFF) authorized the Fed to directly purchase commercial paper. 
B) The Money Market Investor Funding Facility (MMIFF) supported a private plan to provide liquidity to U.S. money markets by funding the purchase of short-term CDs and commercial paper from money market mutual funds and money market investors. 
C) The Term Asset-backed Securities Loan Facility (TALF) authorized the Fed to lend up to $200 billion to the issuers of asset-backed securities. 
D) All of the above are true.

Question 2

Which of the following would be considered a liability of the Fed?

Accepted Answer

A) government securities 
B) giscount loans 
C) Treasury deposits 
D) float 
A) government securities 
B) giscount loans 
C) Treasury deposits 
D) float

Question 3

The policy directive is a statement issued by the ______ to the New York Fed that directs the stance of monetary policy until the next _____ meeting.

Accepted Answer

A) FOMC, FOMC 
B) IMF, World Bank 
C) World Bank, IMF 
D) U.S. Treasury, FDIC 
A) FOMC, FOMC 
B) IMF, World Bank 
C) World Bank, IMF 
D) U.S. Treasury, FDIC

Question 4

Which of the following is true?

Accepted Answer

A) The Fed's new openness has led to more direct control over the fed funds rate and a smaller volume of open market operation necessary to hit the targeted fed funds rate. 
B) Expectations of market participants cause the fed funds rate to move in the desired direction before the Fed even intervenes. 
C) With the new Fed openness, time lags in the monetary policy process have been reduced. 
D) All of the above are true. 
A) The Fed's new openness has led to more direct control over the fed funds rate and a smaller volume of open market operation necessary to hit the targeted fed funds rate. 
B) Expectations of market participants cause the fed funds rate to move in the desired direction before the Fed even intervenes. 
C) With the new Fed openness, time lags in the monetary policy process have been reduced. 
D) All of the above are true.

Which of the following statements is true?

Which of the following would be considered a liability of the Fed?

The policy directive is a statement issued by the __ to the New York Fed that directs the stance of monetary policy until the next _ meeting.

Which of the following is true?

Introduction and Overview

Money and Its Role in the Economy

The Overseer: the Federal Reserve System

Financial Markets, Instruments, and Market Makers

Interest Rates and Bond Prices

The Structure of Interest Rates

Market Efficiency and the Flow of Funds Among Sectors

An Introduction to Financial Intermediaries and Risk

Commercial Banking Structure, Regulation, and Performance

Financial Innovation

Financial Instability and Strains on the Financial System

Regulation of the Banking System and the Financial Services Industry

The Debt Markets

The Stock Market

Securities Firms, Mutual Funds, and Financial Conglomerates

How Exchange Rates Are Determined

Forward, Futures, and Options Agreements

The International Financial System

The Fed, Depository Institutions, and the Money Supply Process

The Demand for Real Money Balances and Market Equilibrium

Financial Aspects of the Household, Business, Government, and Rest-Of-The-World Sectors

Aggregate Demand and Aggregate Supply

The Challenges of Monetary Policy

The Process of Monetary Policy Formation

Monetary Policy in a Globalized Financial System

Filters

Exam 25: Policy Implementation

Which of the following statements is true?

Which of the following would be considered a liability of the Fed?

The policy directive is a statement issued by the ______ to the New York Fed that directs the stance of monetary policy until the next _____ meeting.

Which of the following is true?

Introduction and Overview

Money and Its Role in the Economy

The Overseer: the Federal Reserve System

Financial Markets, Instruments, and Market Makers

Interest Rates and Bond Prices

The Structure of Interest Rates

Market Efficiency and the Flow of Funds Among Sectors

An Introduction to Financial Intermediaries and Risk

Commercial Banking Structure, Regulation, and Performance

Financial Innovation

Financial Instability and Strains on the Financial System

Regulation of the Banking System and the Financial Services Industry

The Debt Markets

The Stock Market

Securities Firms, Mutual Funds, and Financial Conglomerates

How Exchange Rates Are Determined

Forward, Futures, and Options Agreements

The International Financial System

The Fed, Depository Institutions, and the Money Supply Process

The Demand for Real Money Balances and Market Equilibrium

Financial Aspects of the Household, Business, Government, and Rest-Of-The-World Sectors

Aggregate Demand and Aggregate Supply

The Challenges of Monetary Policy

The Process of Monetary Policy Formation

Monetary Policy in a Globalized Financial System

Filters

The policy directive is a statement issued by the __ to the New York Fed that directs the stance of monetary policy until the next _ meeting.